The studios' solution? Delay their audience's gratification, making new releases available only for purchase for the first few weeks. People counting on seeing new flicks on Netflix (NFLX) or via Coinstar's (CSTR) Redbox service would just have to wait ... or buy the movie, which is what studios are hoping for.
But all this begs the question ... who is really that desperate to own a movie these days? Those who really want to see a movie buck up and head to the theaters. Those who have seen and loved a movie might want to own it, but they are just as likely to download from iTunes than to buy the tangible good. Hollywood's move may backfire, coming off more as a threat and further alienating the movie-watching public. Meanwhile, as we wait for the newest releases to become available on our Netflix queues, we can enjoy some of the classics. Might I suggest Network?
Beth works for The Options News Network (www.ONN.tv), which provides daily stock and options commentary. The above comments are not intended as trading advice.